Flexitech buys Trelleborg's Brazilian brake hose unit
ERJ staff report (DS)
Stockholm -- Trelleborg AB is to sell for SEK 65 M (Euro 7.3 million) its operations in brake hoses for light vehicles, which is located in Brazil and is part of the Trelleborg Automotive business area. The buyer is the French company Flexitech. This divestment is a further step in the Trelleborg Group's strategy of focusing on selected segments.
The divested business has annual sales of approximately SEK 140 M and slightly more than 200 employees. All sales are made in the Brazilian market.
“This is a good solution,†says Jim Law, President of the Trelleborg Automotive business area. “This is the only operation in Trelleborg within this product area. It is a local operation in Brazil and the effort required to develop the business to the next level would require a major strategic shift. Accordingly, we have chosen to divest the operation to make way for other investments. “
n addition to the purchase consideration, Trelleborg will retain assets primarily related to the infrastructure in an amount of approximately SEK 30 M. The acquisition is dependent on the approval of the appropriate authorities and is expected to be completed during the first quarter of 2011.
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Press release from Trelleborg
www.flexitech.com/
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